Gen Z Now Drives Nearly Half of Online Betting

Generation Z has emerged as the primary driver of online sports betting, surpassing millennials for the first time. Data from the Bank of America Institute shows that Gen Z accounted for nearly 50% of all online betting activity in July 2026 during the FIFA World Cup.

Betterment conducted a survey finding that 66% of Gen Z investors participate in wagering. Financial and mental health experts warn that these young users increasingly conflate gambling with investing, with 52% of respondents reporting they moved funds intended for investment into sports betting.

Industry players maintain different classifications for their services. While sportsbooks like DraftKings and FanDuel categorize their products as entertainment, prediction markets such as Kalshi and Polymarket describe event contracts as financial derivatives.

In response to addiction concerns, platforms have introduced various safeguards. Polymarket established a partnership with Birches Health and optional self-imposed limits, while Kalshi provides risk-management programs for users aged 18 to 21. DraftKings and FanDuel offer deposit and time limits, with FanDuel specifically imposing monthly deposit caps on users under age 26.